What Makes the 1 OZ Silver Price in Canada So Volatile?
The 1 OZ silver price Canada can fluctuate wildly. It reflects a combination of local economic conditions, global silver supply and demand dynamics, and other broader market factors. This volatility can make silver both an attractive and challenging asset for Canadian investors. For those keen to understand why the price of a single ounce of silver swings so frequently, this article delves into the primary factors behind the unpredictability in the Canadian silver market. Dynamics Between Supply and Demand The price of silver, as with any commodity, is primarily driven by supply and demand. When they have more demand, prices will increase. On the other hand, if there is excess supply, prices collapse. Yet the silver supply-demand balance is particularly fraught. Silver has an important industrial role, particularly in electronics, solar energy and medicinal fields. These industries require silver to function. Thus a spike in demand from these sectors will increase prices. Th...